MyFXspot.com Trade Ideas
EUR/USD: profit taken at 1.1570, buy again at 1.1480, take profit at 1.1720, stop-loss 1.1370
USD/JPY: short opened at 108.50, take profit at 105.50, stop-loss 110.00
USD/CAD: sell at 1.3350, take profit at 1.3010, stop-loss 1.3485
AUD/USD buy at 0.7145, take profit at 0.7350, stop-loss 0.7050
Market overview
The Australian dollar is on track to end the week with solid gains on Friday, buoyed by another promise of policy patience from the Federal Reserve and news of a new round of talks on the Sino-U.S. trade dispute.
The Aussie got a domestic lift from data showing retail sales just pipped forecasts with a rise of 0.4 percent in November, suggesting consumer spending picked up somewhat after a very soft third quarter.
Risk sentiment had already got a fillip when U.S. Treasury Secretary Steven Mnuchin said Chinese Vice Premier Liu He will "most likely" visit Washington later in January for trade talks.
The tentative sign of progress was enough to push the Chinese yuan to its highest since July, and the Aussie was dragged along as a liquid proxy.
Weighing on the U.S. dollar was another round of dovish comments from top Fed officials. Chairman Jerome Powell on Thursday stressed the central bank would be patient and careful on further rate increases.
Vice Chair Richard Clarida said it would not want to wait too long before responding to a persistent slowdown in global growth before adjusting policy to offset that.
The ensuing lift sees a new short-term high set. Further gains are likely as RSIs are biased up, a long lower wick forms on today's candle and the 55-DMA gets pierced again. We have placed a bid at 0.7145.
Our research is based on information obtained from or are based upon public information sources. We consider them to be reliable but we assume no liability of their completeness and accuracy. All analyses and opinions found in our reports are the independent judgment of their authors at the time of writing. The opinions are for information purposes only and are neither an offer nor a recommendation to purchase or sell securities. By reading our research you fully agree we are not liable for any decisions you make regarding any information provided in our reports. Investing, trading and speculation in any financial markets may involve high risk of loss. We strongly advise you to do your own research before making any investment decision.
Recommended Content
Editors’ Picks
EUR/USD drops below 1.0800 after German Retail Sales data
EUR/USD has come under fresh selling pressure and trades below 1.0800 after the data from Germany showed that Retail Sales declined by 1.9% MoM in February. Resurgent US Dollar demand is adding to the downside in the pair. US data are next in focus.
GBP/USD stays weak near 1.2600 amid market caution
GBP/USD remains defensive near 1.2600 in European trading on Thursday. The hawkish tone from Fed Governor Christopher Waller keeps the US Dollar afloat amid a cautious trading environment ahead of key US data releases and the Good Friday trading lull.
Gold price bulls keenly await US PCE Price Index on Friday before placing fresh bets
Gold price (XAU/USD) continues with its struggle to make it through the $2,200 mark on Thursday and oscillates in a narrow trading band through the early part of the European session.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.